The post Gold price extends decline on bullish US Dollar, investors brace for US PPI data appeared on BitcoinEthereumNews.com.

The gold price trades with a negative bias in Friday’s Asian session.  The firmer USD, expectation of a slower pace of Fed rate cuts, exert selling pressure on the Gold price.  The US Retail Sales report for October will take center stage later on Friday.  The Gold price (XAU/USD) struggles to gain ground around $2,570 on Friday after bouncing off a two-month low in the previous session. The precious metal remains under selling pressure amid the strong US Dollar (USD) and the rising uncertainty surrounding the Federal Reserve’s (Fed) pace of interest rate reductions. The expectations of higher inflation next year due to Donald Trump’s policies have led to fewer expected rate cuts, weighing on the yellow metal as higher interest rates make holding non-yielding assets like gold less appealing. However, the escalating tensions in the Middle East and the ongoing conflict between Ukraine and Russia could boost the Gold price, a traditional safe-haven asset. Looking ahead, investors will monitor the US Retail Sales for October, which are due later on Friday. Also, the NY Empire State Manufacturing Index and Industrial Production data will be published. The Fed’s Susan Collins and John Williams are set to speak later in the same day.  Gold price extends losses amid US Dollar rally Fed Chair Jerome Powell said on Thursday that the recent performance of the US economy has been “remarkably good,” giving the Fed room to lower interest rates at a careful pace, per Bloomberg.  Richmond Fed President Thomas Barkin stated on Thursday that while the Fed has made strong progress so far, there’s still more work to be done to keep the momentum going.  The US Producer Price Index (PPI) rose 2.4% YoY in October, compared to a 1.9% rise recorded in September (revised from 1.8%), according to the US Bureau…

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Filed under: News - @ November 15, 2024 2:26 am